FirstBank and Sanwo-Olu Advocate for Agro-Capital Shift

At the 5th FirstBank Agric & Export Expo in Lagos, stakeholders from the financial and agricultural sectors advocated for a shift towards structured, patient capital to enhance Nigeria's agribusiness value chain and non-oil export growth. Lagos State Governor Babajide Sanwo-Olu, represented by Commissioner for Agriculture and Food Systems Ruth Olusanya, highlighted the inadequacy of traditional short-term loans for agricultural financing.

He stressed the importance of aligning credit structures with agricultural cycles, stating that financial institutions must recognize the unique operational realities of agribusinesses. Sanwo-Olu warned against raw commodity exports, urging for local value addition to improve economic prosperity.

FirstBank Group CEO Olusegun Alebiosu reaffirmed the bank's commitment to supporting the sector, focusing on targeted execution and capital deployment. FirstBank Chief Economist Chinwe Egwim noted that while agriculture contributes over 20% to Nigeria's GDP, it only accounts for 4.1% of merchandise export earnings, indicating significant growth opportunities.